India needs 20 years of growth to end poverty: PM
27 Dec 2012
India is still a low-income country, and for it to emerge even as a middle-income economy 20 years of rapid growth is necessary, Prime Minister Manmohan Singh said. The current economic environment in the country, however, is difficult and the government's first priority is to reverse this economic slowdown, he added.
Addressing the inaugural session of the National Development Council meeting in New Delhi, attended by representatives of the various states, the prime minister said the country faced many challenges in achieving sustainable growth.
The Planning Commission has already scaled down the average annual growth rate for the 12th Five Year Plan to 8 per cent from 8.2 per cent earlier.
The prime minister sought the support of the states as policy innovations are essential for achieving inclusive growth. "If growth slows down, it will be difficult for the states and the centre to bring about inclusive growth," he said.
Determined efforts are needed to raise resources for funding the 12th Plan, and early implementation of GST (general sales tax which would replace a plethora of state-level duties) is required, Singh said.
He noted that poverty in the country has been declining at a rate of 2 per cent every year in recent years. "Poverty has declined at a faster rate since 2004, at the rate of 2 per cent every year," he said.
